Germany’s problems are well known: Demographics, Chinese competition, underinvestment, energy dependence, and constrained fiscal policy. Our European Investment Strategy colleagues believe this bad news is priced in…
Our US Equity Strategy colleagues expect Q3 earnings to be strong enough to fuel the soft-landing narrative. Analysts expect S&P 500 earnings growth to be 4.0% year-over-year, with sales growth of 4.0% too. Yet, with…
The Bank of Japan’s policy normalization has been accompanied by exceptional outperformance by Japanese banks. Japanese banks have outperformed both the country’s broader market as well as the MSCI ACW Banks index by…
Stocks are a forward discounting mechanism and routinely top before recessions begin, even if they typically do not swoon until the recession has taken hold. According to BCA Research’s US Investment Strategy service, if…
Both the Chinese and US central banks will likely take policy actions in the coming weeks. What is the potential impact of a mortgage rate cut on China’s household consumption and the broader economy? Will the anticipated Fed easing…
BCA Research’s European Investment strategists looked at previous episodes of carry-trade blowups and assessed the performance of the Eurozone’s key sectors, national markets, and currencies three and six months…
The Q2 2024 earnings season is drawing to a close with 93% of S&P 500 companies having reported results as we go to press. Nearly 80% (60%) of companies have topped earnings (sales) expectations in Q2, according to Factset…
Chinese onshore and offshore bank stocks have outperformed their respective broad markets by 26% and 24% since October. Despite deteriorating return on assets, return on equity and net interest margins, investors have sought out…
According to BCA Research’s US Political Strategy service, in the final months of an election cycle, equities underperform relative to non-election years. This extends further into Q1 of the following year due to…